When looking for a reliable lead generation company, here are a few things you need to keep in mind.
The internet is alive with a plethora of lead generation companies that claim they are the best. Some offer free leads. Others offer exclusive leads. Some offers are almost too tempting to pass up, but you should pass them up.
The first rule of thumb when searching for a reliable lead generation company that stands behind their product and sells exclusive, pre-qualified, pre-screened and verified leads is that the company does not offer you free leads. They are free for a reason, which is usually that at least seven other agents have the same leads or the family dog filled out the form. Free leads are a waste of time, as are exclusive leads sold by some lead generation companies because when they say exclusive, they mean exclusive to a group of agents, not just one agent. Be careful what you buy.
Free leads do have a cost — the cost of lost potential revenue in the form of poor quality leads or clients that sign up for very low cost policies.
First and foremost, a lead generation company needs to provide its customer agents with marketing leads that sell. While that may seem like a no-brainer, there are companies out there that churn aged leads, dud leads and leads that have not been screened. If the leads are not pre-screened and pre-qualified, you are wasting your time and money chasing a questionable lead.
Find out how the lead generation company garners its leads. Do the leads come from telemarketing, direct mail, or preset appointments? Most lead suppliers tend to specialize in one form and sell those leads at a per lead cost. There are some that say they provide leads free. Check every company out before you invest your marketing dollars. Ask around. Find out if any other agents have bought leads from companies you are considering and ask about their experiences. Generally speaking, if a claim sounds far too good to be true, it usually is.
At one time, marketing leads could be generated by an opt-in voicemail. However, that is illegal in the U.S., and if a company tells you they provide voicemail leads, find out if they obtained written permission from the caller and ask them to prove it.
These days the most popular leads and most expensive are preset appointment leads where the agent just has to show up for the appointment and sell a policy. While this is fine in theory, in practice there are some serious issues with the type of lead.
For instance, an agent may show up and be told that the telemarketer told them the agent would just drop off information, or the potential buyer told the telemarketer they were not interested but they were pressured into agreeing to an appointment. Then there are the appointments the agent shows up for and the lead is not home. Get credit for those leads? Usually you get credited with your expenditure for that dud lead toward another order. However, now that you know you get dud leads, and you cannot trust what you may find at a preset appointment, you may be playing “credit me forward” tag until your contract has ended.
When it comes right down to it, ask questions, then ask more questions and do your homework on the lead generation company that you are considering. Weed out what sends up red flags and work to find one that suits your style and goals. Lead generation companies and insurance agents are supposed to be partners with the leads provided, ensuring an agent’s success at selling.